PROPOSED STRATEGY TO INCREASE PASSENGER MOVEMENT AND LOAD FACTOR IN KERTAJATI INTERNATIONAL AIRPORT (KIA)

• Main Author: Reza Adi Wibowo, Muhammad
• Format: Theses
• Language: Indonesia
• Subjects: Manajemen umum
• Online Access: https://digilib.itb.ac.id/gdl/view/57545
• Institution: Institut Teknologi Bandung

Kertajati International Airport is an airport located in Majalengka, West Java. Currently, the Airport is experiencing complicated situations. Since its first operation, Kertajati airport has never met the load factor and has experienced low passenger movement. In 2019, the number of passenger movements had increased quite significantly. However, when the COVID-19 pandemic occurred, KIA has continued to lose passenger movement and is finally forced to stop serving regular flights in the middle of 2020. Based on the issues, this research aims to analyze the issues and factors that might become the root causes and provide strategic suggestions to airport authorities to address the low passenger movement and load factors problem. The analysis will be carried out internally and externally. The internal analysis uses the VRIO, Marketing Mix, and STP frameworks. External analysis will use the PESTLE framework, Consumer Analysis, and Competitor Analysis. All internal and external analyzes will be concluded in a SWOT matrix which can then be formulated into a strategy using a TOWS matrix. The research methodology will use a quantitative method by distributing an online questionnaire randomly to determine the respondents' preferences for the Airport Choice Factor in general and the specific choice factor from Kertajati Airport. Furthermore, it will be known which airport choice factor is the most valued by the respondent. Moreover, Importance performance analysis (IPA) will determine which factors are underperforming and which are performing. Thus, the formulated strategy can be directly targeted to areas that are indeed underperforming. The results are quite interesting where the three airport choice factors that respondents most valued are Airport Access Time, Airport Accessibility, and Flight Schedule. Meanwhile, in terms of performance using the IPA method, six out of ten airport choice factors underperform. These factors are Flight Schedule, Airport Access Time, Airport Accessibility, Airline Availability, Airfares, and Flight Frequency. These six factors possibly contributed significantly to the low passenger movement and load factors at Kertajati airport. Furthermore, after conducting internal and external analyses, it can be formulated into strategies obtained from the TOWS Matrix to address the low passenger movement problem. Several strategy formulations are divided into three, which are adjusted to the target, namely the Central Government, Airlines and Airport related service business, and Travelers or direct consumers. PT BIJB needs to carry out active communication regarding the strategy to be implemented by the government, which involves many parties, including several universities in West Java. For Airlines and Business Related, PT BIJB needs to coordinate related strategies such as concessions and subsidies. To Travelers or End Consumers, KIA will use the Integrated marketing communication method to address misinformation issues and rebuild the Airport's positive brand image. In addition, KIA also needs to carry out active promotions to shift awareness into travel intention. The strategy's implementation plan is planned for 16 months until 2023. Furthermore, the phase starts from communication and coordination with the government, continues with coordination with airlines and related businesses, and finally integrates marketing communication to address end consumers until the end of the project. It is possible to extend the plan until 2024 or more, depending on the conditions of the COVID-19 pandemic. The suggested strategy requires harmonious cooperation and integration between PT BIJB, KIA, West Java, and Central Government and all relevant stakeholders to provide maximum output.